The souk, about a 5 minute walk from where we were staying, has a lot of good handicrafts for sale, frankincense, myrrh, and all sorts of other tourist souvenirs. Prices were reasonable, but seemed to suddenly inflate as soon as a cruise boat disembarked. At quieter times however, a good deal could be struck – haggling is not intense..
There is also a gold souk in Muttrah, but it was closed when we went.